Market watchers were surprised today when it was learned that the number of new claims for unemployment benefits rose by 12,000 to 465,000 for the week ended September 18th. The total number of people receiving unemployment insurance declined, while those getting extended payments rose.
“The economic recovery remains painfully slow and the proof of this is companies are still reluctant to hire,” said Chris Rupkey, chief financial economist at Bank of Tokyo- Mitsubishi UFJ Ltd. in New York. “Those who lost their jobs in this recession will have to wait because the economy’s wheels are not turning fast enough to employ them.”
Source: Bloomberg